Venezuela and Cuba to form joint venture to exploit mature fields

Following the Tenth Meeting of the Intergovernmental Commission of Integral Cooperation Agreement Cuba-Venezuela, held in Havana, Cuba earlier this month, delegations from both countries signed a memorandum of understanding to the establishment of a joint venture aimed at the primary activities in the hydrocarbons within the enclosed area of mature fields.
According to the signed document, these activities may be implemented in accordance with the terms and conditions set forth in the Agreement of the National Assembly, the National Executive Power decree authorizing the creation of the Joint Venture and the decree which transfers to the Joint Venture the right to exercise the primary activity in this area, as specified by the legal regime of oil in Venezuela.

Similarly, the Intergovernmental Commission authorized the change of name and purpose of the joint venture established in Cuba PdVCupet in April 2006 between Commercial Cupet and PdVSA Cuba. Henceforth the company will be named Cuvenpetrol and shall pursue the development and operation of the system of petroleum refining, liquefied natural gas (LNG) and compressed natural gas in the Republic of Cuba.
The operation of Cuvenpetrol also includes the development in the Republic of Cuba expansion projects Refinery "Camilo Cienfuegos", design development and construction of facilities for the regasification plant of Liquefied Natural Gas (LNG), construction of a new refinery in Matanzas and expansion of the refinery Hermanos Diaz.

285 projects
Venezuela's delegation was chaired by Vice President and Minister of Popular Power for Energy and Petroleum Rafael Ramirez, and the delegation of Cuba by Ricardo Cabrisas Ruiz, vice president of the Council of Ministers. The Tenth Meeting of the Intergovernmental Commission will with the approval of a portfolio of 285 projects to implement in 2010. The closing ceremony of this event was attended by the President of the Bolivarian Republic of Venezuela, Hugo Chavez, and President ofthe Councils of State and Ministers of Cuba, Army General Raul Castro Ruz.
The delegations agreed that the adoption of these agreements and the agreed cooperation program, are an important contribution to increasing industrial complementation and integration of the economies of both countries under the principles of the Bolivarian Alliance for the Peoples of Our America and the Treaty of Commerce of the People (ALBA-TCP).

The coordinating body of the Convention, the Ministry of Popular Power for Energy and Petroleum of Venezuela, and the Ministry for Foreign Trade and Foreign Investment in Cuba, agreed to hold quarterly meetings to review the status of implementation of agreed programs.
The Eleventh Meeting of the Intergovernmental Commission will be held in Caracas, Venezuela, in the second half of 2010.